An investment vehicle is basically any structure or place where you put your money to try to make more money. Some examples of investment vehicles are stocks, bonds, and mutual funds.
Archive for the ‘Daily Definition’ Category
An Investment Vehicle is…
Friday, June 3rd, 2011A Director is…
Friday, June 3rd, 2011A director is someone who makes blockbuster hits, true, but the kind of director we’re talking about is someone who helps run a company. A company or organization normally has a board of directors, which is a group of men and women who are elected by shareholders or other members of the organization to oversee its activities and make major decisions about how it operates. A director is one of those board members.
The word is used in a lot of different ways, though, and it can also refer to someone at the management level in charge of… directing things!
Synergy is…
Tuesday, May 24th, 2011Synergy, besides being one of those infamous “corporate buzzwords,” is the combination of at least two things (for example companies or organizations) to produce a financial benefit that’s greater than the sum of its parts.
For example, by purchasing one company, another company might be able to generate more revenue than both companies would have been able to generate if they kept operating separately. (Think Graham Crackers Inc. and Melty Marshmallows LLC being acquired by Hershey’s.)
OPEC is…
Tuesday, May 24th, 2011OPEC stands for “Organization of the Petroleum Exporting Counties.” It is a cartel made up of 12 countries: Algeria, Angola, Ecuador, Iran, Iraq, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, the United Arab Emirates, and Venezuela.
These countries produce much of the oil that the rest of the world buys, so they’ve banded together to ensure that everyone receives a fair price for their oil. The oil ministers of the member countries meet regularly in Vienna to discuss oil prices and production.
A Plutonomy is…
Tuesday, May 24th, 2011A Plutonomy is an economy that is driven and controlled by an extremely wealthy minority. The word was coined in 2005 by an analyst at Citigroup. According to the laws of Plutonomics, the rich – because they spend a lot of money – make up such a large proportion of national spending that they mess with national spending statistics.
For example, if you asked everyone in the country how much they spend on designer clothes each year, and averaged that number, you would get an inaccurate picture of how well America is dressing. Why? Because one person spending $10,000 a year on couture while 9 other people spend $0 still makes it look like everyone is dropping $1,000 on their “collection” every year.
Sexism is…
Tuesday, May 24th, 2011Sexism is discrimination against a person or persons on the basis of gender. Like racism, it can occur explicitly (violence against women, demeaning comments), unconsciously (unintentionally excluding female coworkers from after-work dinners and casual meetings), or institutionally.
An Annuity is…
Tuesday, May 24th, 2011An annuity is a kind of tax-deferred retirement plan, but it’s usually operated through an insurance company. You pay the insurance company a certain amount of money, and in return that company promises to pay you back with interest over a period of time. An annuity is a simple way to save money for retirement without paying taxes on it right away.
You can pay into your annuity all at once (“lump sum”) or in a series of payments. Depending on your contract, an annuity might start paying you back right away or start at a later date – such as when you plan to retire.
A Minimum Wage is…
Tuesday, May 24th, 2011A minimum wage is the absolute minimum amount of money that someone can be paid for a specified job. It was created to ensure that no one is unfairly compensated for their work. As of July 2009, the federal minimum wage is $7.25 per hour.
In the U.S., the minimum wage is regulated by the federal agency called the Department of Labor, but states have the flexibility to set their own higher (or in special cases, lower) minimum wage. There are also exceptions to who must receive the minimum wage. Waiters and other workers who regularly receive tips have a much lower minimum wage ($2.13/ hour). And sometimes employers can pay workers who are under 20 only $4.25 per hour for their first 90 days on the job.
Supply and Demand is…
Thursday, May 19th, 2011Supply and demand is an economic model that determines prices in a competitive market. Generally speaking, supply refers to how much is available for sale, and demand refers to how much consumers want it. The selling price represents where supply and demand meet.
Earnings are…
Thursday, May 19th, 2011Earnings are the amount of money that a company makes over a certain period of time, usually after taxes. So if you have a painting business for the summer, your earnings for the summer would be the amount of money that you’re left with after paying your employees, buying all the materials, and paying taxes on your profit.